The Worlds Fastest Way To Increase Business Profitability

Read this if you want the quickest way to growth your business, profit and income with different scenarios and results visually illustrated to help you make even better decisions.

Many experts claim that the fastest way to increase profit is to increase your prices. I don't totally agree with them. This may be one fast way to increase profit, but it’s not the fastest. Reducing the business variable cost also known as the Cost Of Goods Sold, is just as fast as increasing prices. These two strategies have exactly the same results on your profit margin. But there is an even faster less risky way.


"Profit isn't everything but managing it, is". 

- Hans from "The Business Sniper" -

Growing your business profit and income is about getting more for less. Knowing where is the greatest return on investment possible for every hour you work, for every ounce of energy and for every dollar you invest in your business is very important. It’s The One Thing that will make your earnings exceed your effort and It can eliminate 90% of the hard work. 

In your business right now you have overlooked opportunities and areas screaming to perform better, so they can reward you handsomely

But you can’t thrive and prosper…your business can’t explode with profits and you can’t capitalize on any big business opportunities out there. And you definitely can’t create tremendous success for yourself — until and unless you first of all, maximize what you’re currently doing.

And you can’t maximize what you’re currently doing, if you don’t break it down to its fundamental process. Only when you do that can you measure, can you increase, can you improve and maximize the level of output and performance. So you have to figure out what working right now and what doesn’t and break it down to its main driver. You must first understand what makes your businesses work by understanding what drives your business and how you can affect those main drivers in order to achieve your goals.

"Successful businesses don’t just happen - They are MADE to happen".

Jay Abraham

Different Scenarios And Results For Fastest Way To Increase Profit 

To determine the fastest way to increase business growth, profit, and income, let me visually illustrate different scenarios and their results so you can decide for your self. Obviously, the results for every business will not be the same and to discover what the results for your business will be, you can use the free Profit Mini Sniper Tool that we used for analyzing this business.

This tool will help you make even smart decisions before taking significant financial actions. With various case scenarios, you can experiment with your current reality without putting your business at risk. By playing around with your numbers you can gain instant feedback on your planned actions, test assumptions that will provide you with a better understanding of the potential best case and worst case scenarios in your business and show potential growth and profit opportunities. It can also show you where the money leaks are in your business so you can make decisions quickly and help you identify ways in which you can improve it.

The 4 Main Factors Driving Your Growth, Profits and Income

There are 4 main drivers that have the potential to dramatically increase your growth, profit and income of your business:  


Your Total sales every month.


Your Variable costs you have in producing the products and services you sell. These costs vary as sales increase or decrease.


The Markup % or the price you charge.


Your Fixed costs, for running the business. These are cost that do not change

Let’s take a closer look at the different scenarios and compare their results. For this evaluation we have set a target of increasing profit with 80% for every scenario. Keep in mind for every scenario there are several things we have to take in consideration like:

  1. The risk involved. 
  2. The time it will take to implement.
  3. The cost for implementing it, and also 
  4. How it will affect other parts of the business. 

The business that we evaluated had the following performance (See images below):

  1. The business was doing 112 000 p/m in Sales.
  2. The Variable Cost or COGS was 89 700p/m,
  3. Average Markup % of 24.9% on products.
  4. The monthly Fixed Cost for running the business was 19 500 per month,
  5. Making a Net Profit of 2,800p/m (2.5% of Total Sales)

First, let see what happens if we focus only on Increasing Sales.

 We had to increase sales by 10% to realize the profit target of an 80% increase.

Next, let see what happens if we Reduce Variable Cost.

We only had to Reduce Cost with 2.5% to realize the profit target of an 80% increase.

Now let see what happens if we Reduce Fixed Cost.

We only had to Reduce Cost with 11.5% to realize the profit target of an 80% increase.

Now let see what happens if we Increase Prices.

We only had to Increase Prices with 2,5% to realize the profit target of an 80% increase.

Let's see what happens if we make small improvements in All 4 Areas 

We only had to Increase Prices with 2,5% to realize the profit target of an 80% increase.

You can decide for your self what will be the fastest for your business.

For me, the fastest solution was a combination of small improvements in all the key areas of the business, because anybody can make a 1% improvement in a very short time without risk of losing sales and customers, at no additional cost, or putting pressure on your cash flow.

Use the free Profit Mini Sniper Tool  and other free tools to analyze your business and discover  The Worlds Fastest Way To Increase Your Profits!



Important:  I'm not recommending you simply dive in and start changing things. Action without a plan in business is never a good idea and you may end up taking some serious risks. Before you start selecting and implementing strategies to improve your profit, you need to determine what your current numbers and situation are. 

About the Author Hans

Hans had 40 of his own businesses over the last 30 years and is famous for creating fast-growing businesses” He is an author, speaker, coach, and consultant and a specialist in business optimization and turnaround, helping smaller business owners eliminate business limitations, threats, and growth challenges in achieving their sales, profit, cash flow, and income goals with sniper precision.

follow me on: